The Federal Tax Credits Blog

Posts Tagged ‘tax credits for students 2009’

Question: 2009 $2500 Tax Credit for college students, can someone explain please?

I am graduating in May 2009 (this year) and I heard about the $2500 tax credit. How does this affect me and will I get any $$ out of this? I am really confused, i keep hearing different explanations! I have taken out private and student loans, work in a work study program, and am a dependent of my parents ( though i’ve paid for college myself). thanks!

Answer: If you aren’t claimed on your parent’s taxes and file your own taxes, you will be able to take the tax credit for 2009. Tax credits are subtracted directly from the tax a family or student owes. You had to have made enough to be taxed $2500 in order to benefit from this credit.

Hope this helps!

“What I Like About My School”: Nonpublic school students speak

Question: What is the student credit TAX $2500?

Hi
I am a student my collage tuition was about 2100 and financial Aid paid about 2000, how do I know if I’m qualified for the 2500 Credit Tax?
thanks

Answer: You don’t include tuition costs paid by grants/scholarships; however, you can include student loans and out-of-pocket tuition paid. The credit offsets your tax liability. If you don’t have any tax liability, the 40% of the credit is refundable.

If you only paid $100 in tuition and had no student loans, then you could receive $40 back (assuming you have no tax liability).
If you had $10,000 in student loans and paid $100, then you would use the maximum $2,500 for the credit. This would give you a refund of $1,000 (assuming you have no tax liability).

Tax Break for Gun Buyers in the Works

West Virginia lawmakers want to give gun buyers an annual break from the state sales tax.

Hefty Tax Returns for Parents and Students